Go long as possible because you can always pay it off early by making higher repayments or lump sums. If things get tight then you acn reduce your repauyments. If you are paying on a shorter term you don't have the same flexibility.

For structures you really need a lawyer and tax advisors. Some financial planner set up structures but you really do need a good tax advisor.

Try http://www.houseofwealth.com.au for tax and structures (disclaimer. I consult to this company).

No that is not possible unless the 'business' is a separate entity.

Obtaining an ABN and/or a business name doesn't change things as you are still a sole trader and you cannot trade with yourself.

If you want to do that sort of thing you would need to open a company or a trust. The company could then with you the individual and you could charge a fee.

Watch out for licencing. Builders need to be licenced and the license needs to be in the name of the contracting entity. There is a recent QLD case where a couple of builders opened 2 trusts which then entered into a partnership. The individuals were licensed but the trustee companies or the partnership wasn't. So the contracting party was not a licenced builder and some client refused to pay on this basis and the customer won. They also got prosecuted for not having a buidling licence.

Walton Construction (Qld) Pty Ltd v Plumber by Trade Pty Ltd & Ors [2012] QSC 264

maybe 40% LVR

This is incorrect. see s118-192 ITAA 1997.

It is best not to take tax advice from a real estate agent as it could cost you dearly.

On those numbers it is probably best to sell.

If in VIC you could sell to a spouse in full or part and avoid stamp duty. In most other states stamp duty would apply.

It is fun, but very complex too.

Although it is very easy to issue and serve a statutory demand the next step could be very dangerous to the average punter.

What happens if they challenge it? You would need to either withdraw or front up to the supreme or Federal court ready to defend it.

If they don't challenge it then you will have to commence winding up proceedings and have an administrator appointed. Also in the Supreme/Federal Courts but much easier. Once this happens locks are changed and bank accounts are frozen and all the debts are paid or creditors are given partial or no returns at all depending on the assets of the company.

What if one came in with $3000 more in tax deductions – how much would that save you?

Don't use a company as there are adverse tax consequences.

You will probably need to set up several structures revolving around discretionary trusts.

If you were in Sydney I could speak to you further about this.